From Financialpost · · 1m
Businesses expect Canada's inflation rate to remain above 3%
Canadian businesses anticipate inflation staying above 3% as trade tensions and energy costs rise.
In brief
Canadian businesses anticipate inflation staying above 3% as trade tensions and energy costs rise. Canadian businesses expect inflation to remain above 3% for next two years due to trade conflicts and energy prices. Originally reported by Financialpost.
Inflation rate rises
Canada's overall inflation rate ticked higher to 3.1 per cent year over year in September from three per cent in August.
Businesses expect elevated inflation
According to the Bank of Canada’s new quarterly Business Outlook Survey, many business leaders expect Canada’s overall inflation rate to remain above three per cent over the next two years.
Cost increases passed on
Roughly half of firms surveyed said they planned to pass on some or all of their cost increases related to the Iran war and tariffs.
Inflation pressures continue
Central bank officials noted many BOS responses were collected before trade talks broke down with the U.S.on Aug.
The headline
Canadian businesses expect inflation to remain above 3% for next two years due to trade conflicts and energy prices.
